US markets closed higher last night in a relatively calm trading session after GDP reports showed better-than-expected results. Last night's trading session was less erratic compared to the previous sessions this month where markets swung in 500 points range. The Commerce Dept reported that GDP fell at an annual rate of 0.3 compared to the decline of 0.5 expected by analysts. However, the measure still pointing to an economy contraction in Q3 and analysts are predicting that high market volatility will continue on for several months. Investors still remained cautious about the whole economic outlook and corporate earnings may remain grim for sometime. If earnings report showed more negativity, investors may test markets' low again and heavy sell-offs can be seen in the coming months. The Dow ended up by 189.73 pts or 2.11% to 9,180.69, S&P500 rose 24.00 or 2.58% to 954.09 while Nasdaq rose 41.31 pts or 2.49% to 1,698.52.
Asian markets may open rather flat today following the mild rise on Wall St last night on better GDP report. Asian markets may continue its rally today but may not rise as much and may even have a profit taking session after 3 days of huge rallies. Cautious investors may take their recent winnings off the table as GDP report in the US still showed that economy is contracting though not as bad. Oil prices also declined as economy slows in the US. Oil was recently traded around $65.65ish per barrel, gold traded around $738.50ish and JPY traded around 98.70ish. Nikkei futures was closed at 9020 in CME compared to the close of 9025 here yesterday.
Kospi may open rather flat with an upward bias in the morning and building from its huge rally yesterday after recouping its losses the day before on false rumor. Kospi may extend yesterday's rally but may also give up its rally later on in the day. Profit taking may take place towards market close as weekend is around the corner and investors may want to take recent winnings off the table. Kospi may find its support at 136ish and its resistance at 145ish today.
Hangseng may open higher today following the rise in US markets and good earnings report so far. However, bad earnings from Bank of Communications may cause investors to have a profit taking session today after recent run ups which took Hangseng up by more than 20% in 3 days. Investors may turn cautious again today ahead of the weekend and may lock in recent gains. Hangseng may find its support at 13500ish and its resistance at 14300ish today.
Jumat, 31 Oktober 2008
Kamis, 30 Oktober 2008
Asian market preview 30/10/2008
US markets were closed mixed last night even after The Fed has given markets the rate cut they wanted. Markets shot up higher in the last hour of trading but gave up its gains in the final minutes of trading. Analysts were baffled and there are mixed views as to why markets turned south at the final minutes. Some analysts believed that investors were just trying to rush and lock in profits after a big jump in the markets a day before and others cited reports of a lackluster profit forecast at General Electric Co. The markets are still digesting what The Fed rate cut means to the overall economy and what the comments sent out by The Fed really means. Analysts said that The Fed's message means that the economy is slowing but the risk of a deep recession can be avoided. The Dow ended the day down by 74.16 pts or 0.82% to 8,990.96, S&P500 fell 10.42 pts or 1.11% to 930.09 while Nasdaq rose 7.74 pts or 0.47% to 1,657.21.
Asian markets may open rather flat with upward bias today following the much anticipated rate cut by The Fed and as traders around the region may think that the markets have been heavily sold off. Markets may make further advances today on believe that central banks worldwide are going to do everything they can to get out of this mess. Crude prices also rose last night and was recently traded around $68.16ish per barrel, gold traded around $758.70ish and JPY traded around 97.42ish. Nikkei futures was closed at 8550 in CME compared to the close of 8320 here yesterday.
Kospi may open higher today after having a rough rollercoaster ride yesterday. Kospi was opened much higher yesterday and it dipped downwards in the afternoon after a rumor came out saying that the country needs help from IMF to stay afloat. It swung from +8% to -10% in the afternoon and then was closed at -4% at the end of the day. South Korean official later dismissed that rumor and that brought some calm to the market. Kospi may have a rally today after The Fed cut its interest rate to 1% and traders may even believe that BoK will do further to make more easing to stimulate economic growth. Kospi may find its resistance at 140ish and its support at 125ish today.
Hangseng may open higher today and build on yesterday's gains. However, trading may be highly volatile today as investors may try to lock in profits after recent big gains in the market. Good earnings report from Bank of China and China Cosco may push the index higher today. However, weak investors' sentiment may push markets downward too. Hangseng may find its support at 12300ish and its resistance at 13300ish today.
Asian markets may open rather flat with upward bias today following the much anticipated rate cut by The Fed and as traders around the region may think that the markets have been heavily sold off. Markets may make further advances today on believe that central banks worldwide are going to do everything they can to get out of this mess. Crude prices also rose last night and was recently traded around $68.16ish per barrel, gold traded around $758.70ish and JPY traded around 97.42ish. Nikkei futures was closed at 8550 in CME compared to the close of 8320 here yesterday.
Kospi may open higher today after having a rough rollercoaster ride yesterday. Kospi was opened much higher yesterday and it dipped downwards in the afternoon after a rumor came out saying that the country needs help from IMF to stay afloat. It swung from +8% to -10% in the afternoon and then was closed at -4% at the end of the day. South Korean official later dismissed that rumor and that brought some calm to the market. Kospi may have a rally today after The Fed cut its interest rate to 1% and traders may even believe that BoK will do further to make more easing to stimulate economic growth. Kospi may find its resistance at 140ish and its support at 125ish today.
Hangseng may open higher today and build on yesterday's gains. However, trading may be highly volatile today as investors may try to lock in profits after recent big gains in the market. Good earnings report from Bank of China and China Cosco may push the index higher today. However, weak investors' sentiment may push markets downward too. Hangseng may find its support at 12300ish and its resistance at 13300ish today.
Rabu, 29 Oktober 2008
Asian market preview 29/10/2008
US markets had an astounding advance last night, with markets rose more than 10% and the Dow locking in a 890 points rise which was the 2nd biggest compared to the 936 points advance on Oct 13. There are no new fundamentals to support the rally last night and analysts believed that bargain hunters came in and built the rally from early in the session. Greed have replaced fear for now as some analysts said but they are still mostly pessimistic that the rally won't hold. The rally came as optimism rose that The Fed will cut its interest rate by 50 basis points at the end of its 2-day policy meeting today. Investors also looked past consumer confidence data, which fell to 38 compared to 51 expected by analysts. Analysts believed that there's a fire sale going on for stocks around the world and bargain hunters have come in to buy them now as they feel that the markets' plunge was overdone. The Dow surged 889.35 pts or 10.88% to 9,065.12, S&P500 rose 91.59 pts or 10.79% to 940.51 while Nasdaq rose 143.57 pts or 9.53% to 1,649.47.
Asian markets may open higher today and advance further following yesterday's big rebound. Stocks are really cheap compared to companies' valuation and investors may realize now that it is the right time to buy stocks for long term profitability. Even after companies gave out disappointing results, stocks still advance like Honda. There's also a growing speculation that BoJ is leaning toward cutting its interest rate to 0.25% and that fueled carry trade for JPY. Meanwhile, oil prices seen steady with downward bias too and was recently traded around $62.73ish per barrel, gold traded around $740.50ish and JPY traded around 98.20ish. Nikkei futures was closed at 8110 in CME compared to the close of 7590 here yesterday.
Kospi may open higher today following the big jump in US markets last night and Kospi may advance further as investors may start coming in again to buy stocks. Bargain hunters may dominate the market today as stocks are seen to be quite cheap now. However, volatility may still be high as there are no apparent good news to support the big rally in the US or for South Korea. The fundamentals are still the same as yesterday or last week. Kospi may find its resistance at 145ish and its support at 137ish today.
Hangseng may surge higher today and may build from yesterday's big rally. The good earnings from CNOOC may boost Hangseng but the prospect of bad earnings from Sinopec, Air China may limit its rally today. However, with stocks have fallen so much in recent days, greed may replace fears today and stocks may have quite a rally. Hangseng may find its resistance at 13500ish and its support at 12800ish today. More US economic data still to come out tonight and that may also limit the gains for Hangseng and other markets around the region as investors are still quite nervous.
Asian markets may open higher today and advance further following yesterday's big rebound. Stocks are really cheap compared to companies' valuation and investors may realize now that it is the right time to buy stocks for long term profitability. Even after companies gave out disappointing results, stocks still advance like Honda. There's also a growing speculation that BoJ is leaning toward cutting its interest rate to 0.25% and that fueled carry trade for JPY. Meanwhile, oil prices seen steady with downward bias too and was recently traded around $62.73ish per barrel, gold traded around $740.50ish and JPY traded around 98.20ish. Nikkei futures was closed at 8110 in CME compared to the close of 7590 here yesterday.
Kospi may open higher today following the big jump in US markets last night and Kospi may advance further as investors may start coming in again to buy stocks. Bargain hunters may dominate the market today as stocks are seen to be quite cheap now. However, volatility may still be high as there are no apparent good news to support the big rally in the US or for South Korea. The fundamentals are still the same as yesterday or last week. Kospi may find its resistance at 145ish and its support at 137ish today.
Hangseng may surge higher today and may build from yesterday's big rally. The good earnings from CNOOC may boost Hangseng but the prospect of bad earnings from Sinopec, Air China may limit its rally today. However, with stocks have fallen so much in recent days, greed may replace fears today and stocks may have quite a rally. Hangseng may find its resistance at 13500ish and its support at 12800ish today. More US economic data still to come out tonight and that may also limit the gains for Hangseng and other markets around the region as investors are still quite nervous.
Senin, 27 Oktober 2008
Asian market preview 27/10/2008
US markets were closed lower yet again on Friday on belief that global recession is at hand. Markets fell after more grim corporate outlook came out on Friday. First it was Sony which triggered heavy selling in Japan, then automaker Daimler also reported grim outlook in Germany. These reports came following Microsoft's earlier report which issued a weaker-than-expected forecast for the coming quarter. All these bad corporate news added to the anxiety in the markets and sent panic all over investors' minds. Investors are convinced that the world economy is headed for a severe downturn even as governments raced to revive credit markets on the hope that a normal lending levels by banks will fan economic activities. However, some analysts believed that recent pullbacks were caused by forced selling attributed to margin calls and investors in hedge funds and mutual funds are cashing out. Technically markets worldwide are way oversold but bargain hunters who wanted to come in was kept at bay as selling pressure continues. The Dow ended down by 312.30 pts or 3.59% to 8,378.95 after falling more than 500 pts in early trade. S&P500 fell 31.34 pts or 3.45% to 876,77 while Nasdaq fell 51.88 pts or 3.23% to 1,552.03.
Asian markets may open lower again today following more corporate bad news and a fall in US markets. However, in a very oversold market, investors may finally find some bargain to buy stocks. The low oil prices may come in as a good boost as inflation pressure have eased a lot with energy prices came in at around $60ish per barrel. The prospects of more bad economic data to come out of the US may put further pressure on markets globally. Oil was recently traded around $64.80ish per barrel, gold traded around $737.70ish as gold is seen as a safe-haven in these troubled times. Nikkei futures was closed at 7550 in CME compared to the close of 7290 here on Friday.
Kospi may open slightly higher after plunging more than 10% on Friday. Investors may be encouraged a little bit as BoK called an emergency meeting on Monday to discuss what analysts believe to be another rate cut. If the rate cut does come, it may give a temporary boost to the stock markets but that boost may only be seen as an opportunity for investors to cash out as investors are still fearful of global market outlook. However, that being said, the Kospi was too oversold and it posted a record weekly decline last week. Kospi may find its resistance at 133ish and its support at 120ish today.
Hangseng may open slightly higher after a series of selling off in the market last week. Weak investors' sentiment have put Hangseng under pressure and weak economic outlook from major banks also contributed to the selloff. However, with possible further action from governments in China and Hong Kong, markets may see a temporary rebound as bargain hunters may start to come in and collect the cheap stocks. Hangseng may find its support at 12000 and its resistance at 13500ish today.
Asian markets may open lower again today following more corporate bad news and a fall in US markets. However, in a very oversold market, investors may finally find some bargain to buy stocks. The low oil prices may come in as a good boost as inflation pressure have eased a lot with energy prices came in at around $60ish per barrel. The prospects of more bad economic data to come out of the US may put further pressure on markets globally. Oil was recently traded around $64.80ish per barrel, gold traded around $737.70ish as gold is seen as a safe-haven in these troubled times. Nikkei futures was closed at 7550 in CME compared to the close of 7290 here on Friday.
Kospi may open slightly higher after plunging more than 10% on Friday. Investors may be encouraged a little bit as BoK called an emergency meeting on Monday to discuss what analysts believe to be another rate cut. If the rate cut does come, it may give a temporary boost to the stock markets but that boost may only be seen as an opportunity for investors to cash out as investors are still fearful of global market outlook. However, that being said, the Kospi was too oversold and it posted a record weekly decline last week. Kospi may find its resistance at 133ish and its support at 120ish today.
Hangseng may open slightly higher after a series of selling off in the market last week. Weak investors' sentiment have put Hangseng under pressure and weak economic outlook from major banks also contributed to the selloff. However, with possible further action from governments in China and Hong Kong, markets may see a temporary rebound as bargain hunters may start to come in and collect the cheap stocks. Hangseng may find its support at 12000 and its resistance at 13500ish today.
Jumat, 24 Oktober 2008
Asian market preview 24/10/2008
US markets ended a very volatile session last night mixed but showed some positive signs that bargain hunters are again trying to get back into the markets. The battle between bargain hunters and investors who are trying to cash out caused a very volatile environment for the markets. Analysts believed that investors are trying to find big names stocks and buy them up after being battered for the past 2 sessions. However, whenever the markets rally, nervous investors sold off their holdings as they are concerned about the state of the global economy and fear of a prolonged recession. The rally in the markets last night was led by energy companies as oil prices rose from its 16-month low as OPEC said that they would cut production amid falling demands. Tech stocks still got a beating as Amazon and Sandisk weigh on that sector. Meanwhile, labor department reported that new application for unemployment rose 15,000 last week to 478,000 slightly higher than the 470,000 predicted by analysts. Jobless claims above 400,000 signaled a recession and this is what investors are afraid of. Most of them are struggling to accept the reality that the US is indeed in recession and still believed that they can 'avoid' a recession. The Dow ended up by 172.04 pts or 2.02% to 8,691.25, S&P500 rose 11.33 pts or 1.26% to 908.11 while Nasdaq fell 11.84 pts or 0.73% to 1,603.91.
Asian markets may open slightly on the upside following a mild rally on Wall St overnight. Markets around the region may rebounded today but remain highly volatile as investors still struggling with the state of global economy. Slightly higher oil prices may give a boost to energy producers. Bargain hunters also may come in and seek cheap stocks after the markets only rose once in the past 5 sessions. Oil was recently traded around $69.17ish per barrel, gold traded around $724.90ish and JPY traded around 97.40ish. Nikkei futures was closed at 8300 in CME last night compared to the close of 8215 here yesterday.
Kospi may open slightly on the upside and may prompt some bargain hunters who may cause a rally early in the morning. However, with investors remain very nervous, any rally may be short-lived and may prompt investors to see that as an opportunity to cash out. The weakening Won again may weigh on the market and weak investors' confidence may cause Kospi to fall even further. Earnings results from Samsung Corp. may prove crucial to determine whether Kospi can have a rally today or will it fall further. Kospi may find its support at 135ish today and its resistance at 145ish. If Kospi managed to fall below 135ish, it may prompt more panic selling and may even go towards 130ish or lower.
Hangseng may open slightly higher following a positive end to Wall St's volatile session last night. Hangseng may have small rallies and market may remain highly volatile in the current situation. Bargain hunters may try to enter the market again and try their luck this time to see if they can really find bargain stocks at these prices. China mainland market may again play a part to determine if Hangseng can have a sustainable rally today. Hangseng may find its support at 13600ish and its resistance at 14300ish today.
Asian markets may open slightly on the upside following a mild rally on Wall St overnight. Markets around the region may rebounded today but remain highly volatile as investors still struggling with the state of global economy. Slightly higher oil prices may give a boost to energy producers. Bargain hunters also may come in and seek cheap stocks after the markets only rose once in the past 5 sessions. Oil was recently traded around $69.17ish per barrel, gold traded around $724.90ish and JPY traded around 97.40ish. Nikkei futures was closed at 8300 in CME last night compared to the close of 8215 here yesterday.
Kospi may open slightly on the upside and may prompt some bargain hunters who may cause a rally early in the morning. However, with investors remain very nervous, any rally may be short-lived and may prompt investors to see that as an opportunity to cash out. The weakening Won again may weigh on the market and weak investors' confidence may cause Kospi to fall even further. Earnings results from Samsung Corp. may prove crucial to determine whether Kospi can have a rally today or will it fall further. Kospi may find its support at 135ish today and its resistance at 145ish. If Kospi managed to fall below 135ish, it may prompt more panic selling and may even go towards 130ish or lower.
Hangseng may open slightly higher following a positive end to Wall St's volatile session last night. Hangseng may have small rallies and market may remain highly volatile in the current situation. Bargain hunters may try to enter the market again and try their luck this time to see if they can really find bargain stocks at these prices. China mainland market may again play a part to determine if Hangseng can have a sustainable rally today. Hangseng may find its support at 13600ish and its resistance at 14300ish today.
Kamis, 23 Oktober 2008
Asian market preview 23/10/2008
US markets fell sharply again last night and continued its downturn as investors' worries shifted from credit to health of corporate earnings and the future of economic growth. Markets fell more than 4% with S&P500 closed at its lowest level since April 2003. Corporate profit forecasts, a jump in the dollar and falling oil prices showed that investors are fearful that an economic slowdown will sweep the globe even if lending begins to approach normal levels. Investors are expecting quarterly corporate results to be weak and they are in panic mode so heavy selling is inevitable as analysts believed. Credit markets continued to show signs of easing but investors are more worried now about the current economic condition and how long will this slowdown last. However, analysts are still optimistic as trading volume was light last night compared to the heavy trading volumes in the past 2 weeks when markets plunged at record levels. Analysts said it is quite normal to see this kind of volatilities when the markets are recovering from heavy selling and when markets are searching for its real bottom. The Dow plunged 514.45 or 5.69% to 8,519.21, S&P500 fell 58.27 pts or 6.10% to 896.78 while Nasdaq fell 80.93 pts or 4.77% to 1,615.75.
Asian markets may open lower again today and may extend its decline on global economic worries. However, as markets reaching towards its lowest points formed just recently, bargain hunters may come in yet again to buy stocks at fire sale prices. Many analysts believed that global stock prices have become very cheap right now if they compare it to the Price/Earnings ratio. However, analysts also believed that whenever markets rally, it would only be a reason for investors to sell their holdings. Oil prices tumbled last night as dollar gained strength and as US stockpiles rose last week. Oil was recently traded around $67.55ish per barrel, gold traded around $726.60ish and JPY traded around 98.00ish. Nikkei futures was closed at 8200 in CME compared to the close of 8500 here yesterday.
Kospi may open lower again today and may continue its downward path as investors are desperate to sell their stocks and as foreigners also continued to do heavy sellings on Korean stocks. Gloomy economic outlook for South Korea and the weakening Won may contribute further selling in the Kospi. Kospi may find its support at 136ish and its resistance at 143ish today.
Hangseng may open lower today following the US' further downfall last night on global economic worries. Hangseng may be supported by better-than-expected earnings by Baidu and maybe some other companies. Low oil prices may also finally contribute to the local economic outlook and inflationary pressure to ease further which will leave room for government to take further measure to boost economy. Hangseng may find its support at 13200ish and its resistance at 14000ish today.
Asian markets may open lower again today and may extend its decline on global economic worries. However, as markets reaching towards its lowest points formed just recently, bargain hunters may come in yet again to buy stocks at fire sale prices. Many analysts believed that global stock prices have become very cheap right now if they compare it to the Price/Earnings ratio. However, analysts also believed that whenever markets rally, it would only be a reason for investors to sell their holdings. Oil prices tumbled last night as dollar gained strength and as US stockpiles rose last week. Oil was recently traded around $67.55ish per barrel, gold traded around $726.60ish and JPY traded around 98.00ish. Nikkei futures was closed at 8200 in CME compared to the close of 8500 here yesterday.
Kospi may open lower again today and may continue its downward path as investors are desperate to sell their stocks and as foreigners also continued to do heavy sellings on Korean stocks. Gloomy economic outlook for South Korea and the weakening Won may contribute further selling in the Kospi. Kospi may find its support at 136ish and its resistance at 143ish today.
Hangseng may open lower today following the US' further downfall last night on global economic worries. Hangseng may be supported by better-than-expected earnings by Baidu and maybe some other companies. Low oil prices may also finally contribute to the local economic outlook and inflationary pressure to ease further which will leave room for government to take further measure to boost economy. Hangseng may find its support at 13200ish and its resistance at 14000ish today.
Rabu, 22 Oktober 2008
Asian market preview 22/10/2008
US markets ended down last night on mixed earnings concern and investors took the opportunity to have some profit taking after a huge 400 pts rally the day before. Weak earnings report from Texas Instrument, Sun Microsystems, Freeport McMoran again caused investors to see gloomy outlook beyond Q4 and that sparked another sell-off in the US markets. However, analysts said that investors anxiety have lessened considerably compared with the past 2 weeks when fears took over the markets and battered stocks across the globe. Credit markets eased further in response to a sweeping series of bailout measures by world government, including a joint US and European plan to buy stakes in private banks to boost their lending. Right now, investors are watching the earnings front to gauge how bad the economy outlook is going to be while they're waiting for the bailout measures to work its way through the system. Until the credit market health turn to normal, markets will have these back and forth swings as analysts predicted. Among blue chips, DuPont Co. and Caterpillar both fell more than 5% on weaker earnings report and gloomy 2009 outlook. The Dow ended down by 231.77 pts or 2.50% to 9,033.66, S&P500 fell 30.35 pts or 3.08% to 955.05 while Nasdaq fell 73.35 pts or 4.14% to 1,696.68.
Asian markets may open lower today following another loss on Wall St last night. However, this time the losses on Wall St is not that significant compared to the past few weeks. Investors are more concerned about the earnings report and investors around Asia may also turn to its own local earnings report to find momentum for their markets. Governments worldwide have done whatever they can to help the credit system and investors have realized that it would take time for those measures to work. Crude oil prices fell overnight and was recently traded around $71.75ish per barrel, gold traded around $775.80ish and Nikkei futures was closed at 8980 in CME compared to the close of 9115 here yesterday.
Kospi may open lower today and may continue its downward path from yesterday if more gloomy earnings are to come out in South Korea. The weakening of Korean Won may again weigh on the stock market today. Investors may turn to local news and local earnings report to determine how far the market will continue its way downward or will it make another round of comeback today. Kospi may find its support at 150ish and its resistance at 155ish today.
Hangseng may open lower today following another round of selling in the US last night. Hangseng market may turn to China mainland markets for more news to determine market direction today. Government's plan to inject China's Agriculturual bank, more tax rebates for toymakers and textile exporters and also PetroChina's plan to expand may limit Hangseng's losses and may turn it to the upside. Hangseng may find its support at 14700ish and its resistance at 15300ish today.
Asian markets may open lower today following another loss on Wall St last night. However, this time the losses on Wall St is not that significant compared to the past few weeks. Investors are more concerned about the earnings report and investors around Asia may also turn to its own local earnings report to find momentum for their markets. Governments worldwide have done whatever they can to help the credit system and investors have realized that it would take time for those measures to work. Crude oil prices fell overnight and was recently traded around $71.75ish per barrel, gold traded around $775.80ish and Nikkei futures was closed at 8980 in CME compared to the close of 9115 here yesterday.
Kospi may open lower today and may continue its downward path from yesterday if more gloomy earnings are to come out in South Korea. The weakening of Korean Won may again weigh on the stock market today. Investors may turn to local news and local earnings report to determine how far the market will continue its way downward or will it make another round of comeback today. Kospi may find its support at 150ish and its resistance at 155ish today.
Hangseng may open lower today following another round of selling in the US last night. Hangseng market may turn to China mainland markets for more news to determine market direction today. Government's plan to inject China's Agriculturual bank, more tax rebates for toymakers and textile exporters and also PetroChina's plan to expand may limit Hangseng's losses and may turn it to the upside. Hangseng may find its support at 14700ish and its resistance at 15300ish today.
Selasa, 21 Oktober 2008
Asian market preview 21/10/2008
US markets soared last night and ended more than 3% higher for all major markets on more signs of a reviving credit market and comments from Fed chairman Ben Bernanke. Investors saw that the Libor rate (bank-to-bank lending rate) has eased further and this brought some calm to the markets which have been heavily sold the past few weeks. Meanwhile Ben Bernanke also hinted that the government will take more steps to help the economy. The market liked what Bernanke had to say and with credit easing slowly, market realized that it is going to be a process. Analysts believed that the steps taken by government finally have some impact on investors' sentiment and that the not-so-dismal start to the earnings season contributed to the rally in the markets. Last night, oilfield services provider, Halliburton Co. topped estimates and said that any macroeconomic problems will ultimately correct themselves. Still, there are still much fears in the market as demand for treasury bills is still quite high. Analysts also believed that according to past history, recovering markets will face further turmoil in price swings and may even test their lows yet again. The Dow ended up by 413.21 pts or 4.67% to 9,265.43, S&P500 rose 44.85 pts or 4.77% to 985.40 while Nasdaq rose 58.74 pts or 3.43% to 1,770.03.
Asian markets may open higher today following Wall St big rally last night on optimism that the credit market is finally easing and that more steps will be taken by the US to support the weakening economy. Markets may not be fully confident and reverse course but short-term rally may take place and may get supported if earnings reports from local companies also give reason for investors to buy. Oil prices rose last night and was recently traded around $75.69ish per barrel, gold traded around $798.50ish and JPY traded around 101.90ish. Nikkei futures was closed at 9360 in CME compared to the close of 9025 here yesterday.
Kospi may open higher today following more optimism from the US. However, with much uncertainties still linger around the air, the Kospi may not have a full rally and may have wild price swings like it did yesterday. Kospi touched its lowest price this year yesterday at 150.85 and although it may not go to that point again today, volatility will remain quite high. Investors' confidence may not be fully restored as the process in recovering the global economic condition is quite slow. Some melamine problems found in biscuits may give some pressure on the market as well. Kospi may find its resistance at 167ish and its support at 160ish today.
Hangseng may open higher today and may continue its rally from yesterday following more optimism from the US regarding the credit crisis. However, the rally may not be fully supported as lower-than-expected earnings from China Mobile may weigh on the market after it helped the market in previous session. The losses in Citic Pacific may also weigh on the market and the overall performance of Chinese mainland markets may determine Hangseng's movement today. Hangseng may find its resistance at 16200ish and its support at 15300ish today.
Asian markets may open higher today following Wall St big rally last night on optimism that the credit market is finally easing and that more steps will be taken by the US to support the weakening economy. Markets may not be fully confident and reverse course but short-term rally may take place and may get supported if earnings reports from local companies also give reason for investors to buy. Oil prices rose last night and was recently traded around $75.69ish per barrel, gold traded around $798.50ish and JPY traded around 101.90ish. Nikkei futures was closed at 9360 in CME compared to the close of 9025 here yesterday.
Kospi may open higher today following more optimism from the US. However, with much uncertainties still linger around the air, the Kospi may not have a full rally and may have wild price swings like it did yesterday. Kospi touched its lowest price this year yesterday at 150.85 and although it may not go to that point again today, volatility will remain quite high. Investors' confidence may not be fully restored as the process in recovering the global economic condition is quite slow. Some melamine problems found in biscuits may give some pressure on the market as well. Kospi may find its resistance at 167ish and its support at 160ish today.
Hangseng may open higher today and may continue its rally from yesterday following more optimism from the US regarding the credit crisis. However, the rally may not be fully supported as lower-than-expected earnings from China Mobile may weigh on the market after it helped the market in previous session. The losses in Citic Pacific may also weigh on the market and the overall performance of Chinese mainland markets may determine Hangseng's movement today. Hangseng may find its resistance at 16200ish and its support at 15300ish today.
Senin, 20 Oktober 2008
Asian market preview 20/10/2008
US markets were closed just moderately lower on Friday as investors were cheered by signs of easing in the credit market and managed to absorb weak economic news. Volatility was still quite high and the expiration of Options contracts add to the swings in the markets. Analysts have believed that markets were way oversold in such a short time and now they feel that markets finally realized that governments all over the world are trying to do everything they can to stop this from happening, and now many investors are bargain hunting. Warren Buffet's encouragement to buy US equities also helped to boost stocks in early trade but gains were given back at the end of the session. In economic news, the government said that new home construction dropped by more than expected last month to the lowest pace since 1991. However, bad economic news have already been expected by investors and now they focussed on the credit market. Libor rate seemed to ease up a little bit and that cheered investors' mood on Friday. The Dow ended the session down by 127.04 pts or 1.41% to 8,852.22 but ended higher by 4.75% for the week. S&P500 lost 5.88 pts or 0.62% to 940.55 but ended higher by 4.6% for the week. Nasdaq fell 6.42 pts or 0.37% to 1,711.29 but ended the week higher by 3.75%.
Asian markets may open higher today and may continue its rebound after steep selloff on Thursday. The mild loss in the US on Friday may bring little impact compared to the heavy losses in the previous sessions this month. Some easing in the credit market may cheer investors' sentiment worldwide and may help global stock markets. The slight rebound in oil may also help energy companies around the region. Oil was recently traded around $71.85ish per barrel, gold traded around $787.70ish and JPY traded around 101.55ish. Nikkei futures was closed at 8730 in CME compared to the close of 8455 here on Friday.
Kospi may open higher today after the government announced that they will provide $100 billion guarantee for banks' foreign debts to ease dollar shortage. In addition, they will also supply $30 billion to local banks and exporters. Bargain hunting may also emerge after the market was hammered quite bad for the past 2 sessions, losing more than 12%. However, investors' confidence may not have been fully restored as there are still more uncertainties from the US and that investors are still nervous about the whole global economic outlook. Kospi may find its resistance at 165ish and its support at 158ish today.
Hangseng may open higher as losses in the US is quite mild on Friday compared to the previous sessions and investors may think that it is a positive sign with the credit market showed some signs of easing. Bargain hunting may emerge and may boost stock market today as Hangseng have been hammered pretty bad for the past 3 sessions, losing almost 15%. Analysts' view that the global markets were way oversold may also give some hope for investors to buy stocks and may boost market further. Hangseng may find its resistance 15300ish and may find its support at 14600ish today.
Asian markets may open higher today and may continue its rebound after steep selloff on Thursday. The mild loss in the US on Friday may bring little impact compared to the heavy losses in the previous sessions this month. Some easing in the credit market may cheer investors' sentiment worldwide and may help global stock markets. The slight rebound in oil may also help energy companies around the region. Oil was recently traded around $71.85ish per barrel, gold traded around $787.70ish and JPY traded around 101.55ish. Nikkei futures was closed at 8730 in CME compared to the close of 8455 here on Friday.
Kospi may open higher today after the government announced that they will provide $100 billion guarantee for banks' foreign debts to ease dollar shortage. In addition, they will also supply $30 billion to local banks and exporters. Bargain hunting may also emerge after the market was hammered quite bad for the past 2 sessions, losing more than 12%. However, investors' confidence may not have been fully restored as there are still more uncertainties from the US and that investors are still nervous about the whole global economic outlook. Kospi may find its resistance at 165ish and its support at 158ish today.
Hangseng may open higher as losses in the US is quite mild on Friday compared to the previous sessions and investors may think that it is a positive sign with the credit market showed some signs of easing. Bargain hunting may emerge and may boost stock market today as Hangseng have been hammered pretty bad for the past 3 sessions, losing almost 15%. Analysts' view that the global markets were way oversold may also give some hope for investors to buy stocks and may boost market further. Hangseng may find its resistance 15300ish and may find its support at 14600ish today.
Jumat, 17 Oktober 2008
Asian market preview 17/10/2008
US markets continued on its high volatility ways last night and this time markets were closed to the upside by more than 4%. Markets were trading much lower early in the session as more bad economic data pushed markets downward. Investors were initially cheered by a better-than-expected reading on consumer prices. CPI for September came in flat compared to the 0.1% decline in August and the core index rose by 0.1%. Meanwhile, first time claims for unemployment declined last week. The Labor Department said new claims fell 16,000 to 461,000, below the 475,000 anticipated by economists. Still, total unemployment still points to recession. From the Philadelphia Fed, it said that regional manufacturing conditions weakened in October. The bank's regional index came in at negative 37.5 compared with a positive 3.8 for September. The news followed word from The Fed that production at the nation's factories, mines and utilities plunged 2.8% last month. Analysts believe that the current high volatilities in the markets will continue for some time as investors are really anxious about the economy. The Dow ended up by 401.35 pts or 4.68% to 8,979.26, S&P500 rose 38.59 pts or 4.25% to 946.43 while Nasdaq rose 89.38 pts or 5.49% to 1,717.71.
Asian markets may open higher today following the jump for the US markets last night and may continue to follow the high volatility path like the US markets. Better-than-expected earnings from Google and IBM may help push tech stocks in the Asian region as well. Bad economic outlook may still weigh on the markets but bargain hunting may come in and buy the already heavily discounted stocks. Crude oil prices also fell to below $70 in US trading last night and was recently traded around $69.85ish per barrel, gold traded around $804.50ish and JPY traded around 101.32ish. Nikkei futures was closed at 8800 in CME compared to the close of 8575 here yesterday.
Kospi may open higher today and may get a nice rebound after steep losses yesterday to close at its lowest point of the year. Tech and chipmakers may get a boost today following better-than-expected earnings from Google and IBM in the US. The weakened Won may weigh the market though but bargain hunters may help lift the stock market today. Kospi may find its resistance at 165ish and its support at 160ish today.
Hangseng may open higher today after 2 days of heavy losses mounting to more than 12%. Bargain hunters may dominate the market as the bad economic news and figures seemed to have already been priced in. China mainland markets may also play a part to determine how the Hangseng market will perform. Low oil prices may finally play a part to boost stocks as oil went below $70, its lowest price for the past year. Hangseng may find its resistance at 16000ish and its support at 15200ish today.
Asian markets may open higher today following the jump for the US markets last night and may continue to follow the high volatility path like the US markets. Better-than-expected earnings from Google and IBM may help push tech stocks in the Asian region as well. Bad economic outlook may still weigh on the markets but bargain hunting may come in and buy the already heavily discounted stocks. Crude oil prices also fell to below $70 in US trading last night and was recently traded around $69.85ish per barrel, gold traded around $804.50ish and JPY traded around 101.32ish. Nikkei futures was closed at 8800 in CME compared to the close of 8575 here yesterday.
Kospi may open higher today and may get a nice rebound after steep losses yesterday to close at its lowest point of the year. Tech and chipmakers may get a boost today following better-than-expected earnings from Google and IBM in the US. The weakened Won may weigh the market though but bargain hunters may help lift the stock market today. Kospi may find its resistance at 165ish and its support at 160ish today.
Hangseng may open higher today after 2 days of heavy losses mounting to more than 12%. Bargain hunters may dominate the market as the bad economic news and figures seemed to have already been priced in. China mainland markets may also play a part to determine how the Hangseng market will perform. Low oil prices may finally play a part to boost stocks as oil went below $70, its lowest price for the past year. Hangseng may find its resistance at 16000ish and its support at 15200ish today.
Kamis, 16 Oktober 2008
Asian market preview 16/10/2008
US markets plunged again last night amid new recession concerns and that the measures taken by governments will not heal the wounded economy straight away. All markets were down more than 7% as new data points to recession if not already here, is inevitable. The sell-off began after the governments reported that retail sales plunged by 1.2%, almost double the 0.7% predicted by analysts which made it clear that consumers are reluctant to spend amid a shaky economy. Then in the afternoon came the beige book which also offered similar views regarding the economy. The report found that the economy continued to slow as financial and credit market problems became worse. Analysts predicted that volatility will remain high in these uncertain times and as the governments have used almost all measures to help the economy, investors now have to wait to see how the actions will steady the economy. The Dow plunged 733.08 pts or 7.87% to 8,577.91, S&P500 fell 90.17 pts or 9.03% to 907.84 while Nasdaq fell 150.68 pts or 8.47% to 1,628.33.
Asian markets will open lower again today following the plunge in US markets last night as investors fear of recession. Markets around the region may be hit hard again and may visit this year's low, which was formed on 10th October again today as the fear of a prolonged global recession may make investors to hold cash instead of stocks right now. Crude oil prices also plunged overnight as fears of reduced demands make investors flee. Oil was recently traded around $73.50ish per barrel, gold traded around $845ish and JPY traded around 99.60ish. Nikkei futures was closed at 8500 in CME compared to the close of 9320 here yesterday.
Kospi may open lower again today as US markets plunged overnight and may continue its losses and may even visit this year's low again. Investors' confidence have been hit pretty hard the past month and with this growing fear of global recession, investors may run away to safety instead of holding stocks. Local corporate earnings may help or may even make things worse if earnings are bad. Kospi may find its support at 160ish and if it breached that level, it may find resistance at 155ish. It may find its resistance at 165ish today.
Hangseng may open lower today amid growing concerns of a global recession. Hangseng have plunged 5% yesterday and may extend its decline today as regional markets may put pressure on its movement. The Hong Kong government will take every measures to prevent Hong Kong to become affected by the crisis, but it cannot avoid global recession. Hangseng may find its support at 14500ish and its resistance at 15200ish today.
Asian markets will open lower again today following the plunge in US markets last night as investors fear of recession. Markets around the region may be hit hard again and may visit this year's low, which was formed on 10th October again today as the fear of a prolonged global recession may make investors to hold cash instead of stocks right now. Crude oil prices also plunged overnight as fears of reduced demands make investors flee. Oil was recently traded around $73.50ish per barrel, gold traded around $845ish and JPY traded around 99.60ish. Nikkei futures was closed at 8500 in CME compared to the close of 9320 here yesterday.
Kospi may open lower again today as US markets plunged overnight and may continue its losses and may even visit this year's low again. Investors' confidence have been hit pretty hard the past month and with this growing fear of global recession, investors may run away to safety instead of holding stocks. Local corporate earnings may help or may even make things worse if earnings are bad. Kospi may find its support at 160ish and if it breached that level, it may find resistance at 155ish. It may find its resistance at 165ish today.
Hangseng may open lower today amid growing concerns of a global recession. Hangseng have plunged 5% yesterday and may extend its decline today as regional markets may put pressure on its movement. The Hong Kong government will take every measures to prevent Hong Kong to become affected by the crisis, but it cannot avoid global recession. Hangseng may find its support at 14500ish and its resistance at 15200ish today.
Rabu, 15 Oktober 2008
Asian market preview 15/10/2008
US markets ended a relatively calm day with modest loss on profit taking after posted its biggest gains in history the day before. Financial stocks surged again last night as bargain hunters still buy into the already battered stocks. Investors remained nervous about the whole economic situation and the fears of global recession still become the theme for markets. Analysts have mixed opinion of whether or not we have reached the bottom. It seems that the government plan is beginning to work as banks are starting to become more willing to lend to one another as shown by the slight drop in Libor rate from 4.75% to 4.64%. In the US, Nasdaq was hit worst as investors are nervous, waiting for Intel's results. The Dow ended lower by 76.62 pts or 0.82% to 9,310.99, S&P500 fell 5.34 pts or 0.53% to 998.01 while Nasdaq fell 65.24 pts or 3.54% to 1,779.01.
Asian markets may open slightly lower following the profit taking session that took place in the US last night. Markets around the region may also have similar reaction as it has rallied big time for the past 2 days. Investors still remain cautious about the whole economic situation and they may want to wait further as more economic data to come out of the US this week. Markets may move with quite a high volatility today. Oil was recently traded around $78.87ish per barrel, gold traded around $842.10ish and JPY traded 102.04ish. Nikkei futures was closed at 9440 in CME last night compared to the close of 9660 here yesterday.
Kospi may open slightly lower today and profit taking may come in as investors want to lock in profits after recent big gains in the market. Chip makers may be boosted after Intel posted better-than-expected Q3 results and it seems that Intel is little affected by the whole financial crisis situation. Trading may be highly volatile as it has been for the past 2 weeks today as uncertainty still lingers. Kospi may find its support at 173ish and its resistance at 180ish today.
Hangseng may open lower today and may continue lower for a bit for some profit taking action. The drop in oil to below $80 per barrel may be a bonus to refiners and ease inflationary concerns but the outlook with the whole global economy is still gloomy. Analysts predicted that Hangseng will swing wildly within 5000 range for the next few months as investors are trying to find solid ground with the whole situation. Chinese mainland markets may also dominate how well Hangseng may perform today. Hangseng may find its support at 16500ish and its resistance at 17300ish today.
Asian markets may open slightly lower following the profit taking session that took place in the US last night. Markets around the region may also have similar reaction as it has rallied big time for the past 2 days. Investors still remain cautious about the whole economic situation and they may want to wait further as more economic data to come out of the US this week. Markets may move with quite a high volatility today. Oil was recently traded around $78.87ish per barrel, gold traded around $842.10ish and JPY traded 102.04ish. Nikkei futures was closed at 9440 in CME last night compared to the close of 9660 here yesterday.
Kospi may open slightly lower today and profit taking may come in as investors want to lock in profits after recent big gains in the market. Chip makers may be boosted after Intel posted better-than-expected Q3 results and it seems that Intel is little affected by the whole financial crisis situation. Trading may be highly volatile as it has been for the past 2 weeks today as uncertainty still lingers. Kospi may find its support at 173ish and its resistance at 180ish today.
Hangseng may open lower today and may continue lower for a bit for some profit taking action. The drop in oil to below $80 per barrel may be a bonus to refiners and ease inflationary concerns but the outlook with the whole global economy is still gloomy. Analysts predicted that Hangseng will swing wildly within 5000 range for the next few months as investors are trying to find solid ground with the whole situation. Chinese mainland markets may also dominate how well Hangseng may perform today. Hangseng may find its support at 16500ish and its resistance at 17300ish today.
Selasa, 14 Oktober 2008
Asian market preview 14/10/2008
US markets posted the biggest gains in history in terms of percentage and points term last night. Most markets soared up more than 11% after the government, along with other government globally guarantee bank deposits and buying stakes in banks directly. The Fed has also allowed to flood the global financial system with dollars. Investors are rushing back to stocks as it has been discounted significantly in the past week and news about the implementation of $700 billion package only added to the investors' optimism. Analysts believed that current levels is closer to the bottom but has not yet reached the very bottom. There are still a long road ahead before investors' confidence is fully restored as economic data is to come next in the coming days. The Dow soared 936.42 pts or 11.08% to 9,387.61, S&P500 soared 104.13 pts or 11.58% to 1,003.35 while Nasdaq rose 194.74 pts or 11.81% to 1,844.25.
Asian markets may open higher today following the biggest 1-day gainers by US markets overnight. Japanese markets may play catch up today after it was closed yesterday as regional markets rallied. Governments' plans to save banks globally may still have impact after the US also followed to guarantee bank deposits and to buy stakes in banks. Oil prices also soared as global rallies bring optimism to investors. Oil was recently traded around $81.19ish per barrel, gold traded around $842.50ish and JPY traded around 102.20ish. Nikkei futures was closed at 8990 in CME last night compared to the close of 7870 here on Friday and 8605 yesterday on a shortened trading session.
Kospi may open higher today and may add to yesterday's gains as the US markets posted a huge rally last night. Governments worldwide are trying to save banks and to get credit flowing again. Kospi may find its resistance at 180ish today and its support at 172ish.
Hangseng may open higher today and may add to yesterday's gains as US markets rallied the most in history on speculation that the governments' measures to save banks will finally unclog the frozen credit markets. However, yesterday Hangseng have risen more than 10%, it may not add as much today as there are also still some uncertainties linger on the air. Hangseng may find its resistance at 17200ish today and its support at 16500ish.
Asian markets may open higher today following the biggest 1-day gainers by US markets overnight. Japanese markets may play catch up today after it was closed yesterday as regional markets rallied. Governments' plans to save banks globally may still have impact after the US also followed to guarantee bank deposits and to buy stakes in banks. Oil prices also soared as global rallies bring optimism to investors. Oil was recently traded around $81.19ish per barrel, gold traded around $842.50ish and JPY traded around 102.20ish. Nikkei futures was closed at 8990 in CME last night compared to the close of 7870 here on Friday and 8605 yesterday on a shortened trading session.
Kospi may open higher today and may add to yesterday's gains as the US markets posted a huge rally last night. Governments worldwide are trying to save banks and to get credit flowing again. Kospi may find its resistance at 180ish today and its support at 172ish.
Hangseng may open higher today and may add to yesterday's gains as US markets rallied the most in history on speculation that the governments' measures to save banks will finally unclog the frozen credit markets. However, yesterday Hangseng have risen more than 10%, it may not add as much today as there are also still some uncertainties linger on the air. Hangseng may find its resistance at 17200ish today and its support at 16500ish.
Sabtu, 11 Oktober 2008
Asian market preview 13/09/2008
US markets ended a very volatile day on Friday mixed With Nasdaq market ending mildly in positive territory. Dow Jones Industrial Average recorded the wildest swing ever with over 1000 points swing in the day. It started down almost 700 pts then rallied back up to gain more 100 pts before plunging back into negative territory. It spent most of the time down 300-500 pts before in the final hour, it rallied more than 700 pts and closed down 180 pts. Analysts believed that it was better than the previous 7 trading sessions and that investors are trying to bottom fish at current levels. Investors are taking chances ahead of the G-7 meeting to be held over the weekend to discuss the economic meltdown. Investors believed that one of the potential remedies is for governments to guarantee lending among banks. Within a week, The Dow have lost 18.2% and have lost 40.3% since hitting its highest peak a year ago. Analysts believe that trading will remain volatile in the next few weeks, but some brave long term investors are starting to enter the markets at current levels as nobody wants to miss markets' bottom. The Dow ended down by 128 pts or 1.49% to 8,451.49, S&P500 fell 10.70 pts or 1.18% to 899.22 while Nasdaq rose 4.39 pts or 0.27% to 1,649.51.
Asian markets may open mildly lower after losing so much percentage points on Friday. A mild 1%ish drop for US markets may means that markets around Asia may even starting to turn around and have a short-term rally. Depending on the outcome of the G-7 meeting, markets around Asia may even have quite a rally today. Oil prices also dropped on Friday to below $80 per barrel and marked the lowest price for a year. Lower oil prices means lower inflation for countries around Asia and that may give further boost to the stock markets. Oil was recently traded around $77.70ish per barrel, gold traded around $859ish and JPY traded around 100.50ish. Nikkei futures was closed at 8120 in CME compared to the close of 7870 here on Friday. Nikkei will be closed today for holidays.
Kospi may open rather flat today and may go up today following the modest drop in the US. The markets have been heavily oversold in the past week and bargain hunters may start to come in and starts buying stocks for long term. Many analysts have already pushed their investors by saying that it is the best time to enter into the stock market at any time since markets were coming down way too fast and governments around the world are working tirelessly to find a solution to the current situation. However, market may still be very volatile like Friday's session where Kospi was down 9% at one point before rebounding up to close lower by 4%. Kospi may find its support at 160ish today and its resistance at 167ish.
Hangseng may open rather flat with upward bias today following the mild drop in the US and after investors showed some kind of enthusiasm to buy stocks again. Many analysts believe that the bottom is near and a rebound is due to happen anytime soon. Long term investors may want to start early and may start buying stocks at current level. Lower oil prices may also help to boost markets in Hong Kong and China. Howecer, China mainland markets may also play a significant part to determine whether Hangseng will have a huge rally or will it be stopped halfway and go back down again. Hangseng may find its support at 14700ish and its resistance at 15700ish today.
Asian markets may open mildly lower after losing so much percentage points on Friday. A mild 1%ish drop for US markets may means that markets around Asia may even starting to turn around and have a short-term rally. Depending on the outcome of the G-7 meeting, markets around Asia may even have quite a rally today. Oil prices also dropped on Friday to below $80 per barrel and marked the lowest price for a year. Lower oil prices means lower inflation for countries around Asia and that may give further boost to the stock markets. Oil was recently traded around $77.70ish per barrel, gold traded around $859ish and JPY traded around 100.50ish. Nikkei futures was closed at 8120 in CME compared to the close of 7870 here on Friday. Nikkei will be closed today for holidays.
Kospi may open rather flat today and may go up today following the modest drop in the US. The markets have been heavily oversold in the past week and bargain hunters may start to come in and starts buying stocks for long term. Many analysts have already pushed their investors by saying that it is the best time to enter into the stock market at any time since markets were coming down way too fast and governments around the world are working tirelessly to find a solution to the current situation. However, market may still be very volatile like Friday's session where Kospi was down 9% at one point before rebounding up to close lower by 4%. Kospi may find its support at 160ish today and its resistance at 167ish.
Hangseng may open rather flat with upward bias today following the mild drop in the US and after investors showed some kind of enthusiasm to buy stocks again. Many analysts believe that the bottom is near and a rebound is due to happen anytime soon. Long term investors may want to start early and may start buying stocks at current level. Lower oil prices may also help to boost markets in Hong Kong and China. Howecer, China mainland markets may also play a significant part to determine whether Hangseng will have a huge rally or will it be stopped halfway and go back down again. Hangseng may find its support at 14700ish and its resistance at 15700ish today.
Jumat, 10 Oktober 2008
Asian market preview 10/10/2008
US markets tumbled for the 7th straight session, posting its lowest close in 5 years on the anniversary when the markets hit its highest point just one year ago. Markets plunged in the final hour of trading, after S&P ratings services put GM and its finance affiliate GMAC LLC under review to see if its rating should be cut. GM has been struggling with weak car sales in North America. S&P also put Ford Motor Co. on credit watch negative. Credit markets are still frozen despite a combined efforts by central banks worldwide to cut interest rates to stimulate investors' confidence. Libor, tha bank-to-bank lending rate remains stubbornly high, rose to 4.75% from 4.52% on Wednesday and until that starts to come down, it will be hard to get investors excited about stocks again. Almost 3000 stocks fell on NYSE and less than 250 advanced. The Dow plunged 678.91 pts or 7.3% to 8579.19, S&P500 fell 75.02 pts or 7.6% to 909.92 while Nasdaq fell 95.21 pts or 5.5% to 1,645.12. Analysts believe that the markets are way oversold but has yet to determine its real bottom now.
Asian markets may open lower yet again today and may come under pressure again as selling and fears gripped markets worldwide. Most investors are choosing to get out of stocks at any price as more uncertainty looms in the fate of global economy. Oil prices also fell as investors predict weaker demand in this kind of sluggish economic conditions. Gold price meanwhile is predicted to go back beyond $1000 per troy ounce and may even go towards $2000 within the next year as some analysts believe. Oil was recently traded around $84.90ish per barrel, gold traded around $918ish and JPY traded around $99.50ish. Nikkei futures was closed at 8620 in CME compared to the close of 9300 here yesterday.
Kospi may open lower today after staging a slight recovery rally yesterday on new found optimism over coordinated global rate cuts. However, investors are still nervous and may be in fear yet again today following another massive sell-off in the US last night. Kospi may even fall below 160 mark today if investors are afraid enough and do not want to hold stocks over the weekend. Kospi may find its support at160ish today and its next support may be at 157ish while its resistance at 167ish.
Hangseng may open lower today and may fall after staging more than 3% rally yesterday on global rate cuts optimism. Hangseng may fall below the 15000 mark today and may even test the 14700 levels. Chinese markets may also determine whether Hangseng will fall more deeply or it can contain the freefall for Hangseng. Hangseng may find its support at 14700ish and its resistance at 15500ish today.
Asian markets may open lower yet again today and may come under pressure again as selling and fears gripped markets worldwide. Most investors are choosing to get out of stocks at any price as more uncertainty looms in the fate of global economy. Oil prices also fell as investors predict weaker demand in this kind of sluggish economic conditions. Gold price meanwhile is predicted to go back beyond $1000 per troy ounce and may even go towards $2000 within the next year as some analysts believe. Oil was recently traded around $84.90ish per barrel, gold traded around $918ish and JPY traded around $99.50ish. Nikkei futures was closed at 8620 in CME compared to the close of 9300 here yesterday.
Kospi may open lower today after staging a slight recovery rally yesterday on new found optimism over coordinated global rate cuts. However, investors are still nervous and may be in fear yet again today following another massive sell-off in the US last night. Kospi may even fall below 160 mark today if investors are afraid enough and do not want to hold stocks over the weekend. Kospi may find its support at160ish today and its next support may be at 157ish while its resistance at 167ish.
Hangseng may open lower today and may fall after staging more than 3% rally yesterday on global rate cuts optimism. Hangseng may fall below the 15000 mark today and may even test the 14700 levels. Chinese markets may also determine whether Hangseng will fall more deeply or it can contain the freefall for Hangseng. Hangseng may find its support at 14700ish and its resistance at 15500ish today.
Kamis, 09 Oktober 2008
Asian market preview 09/10/2008
US markets tumbled for the sixth straight session after an emergency rate cut failed to sustain markets' rally during the morning session. Markets initially rallied up after The Fed joined ECB, BOE, Bank of Canada, Swedish Riksbank and the Swiss National Bank to cut interest rate in an unprecedented move to battle credit freeze. After a while, markets zig-zagged in and out of positive and negative territory before finally gave up its gains in the final 30 minutes after Henry Paulson's comments stating that it could take weeks before the $700 billion bill starts to buy troubled mortgage-backed assets from banks. Global recession fears around the world have sent global markets tumbled down for the past week and yesterday alone, some markets lost over 10% and was shut down early. It is hard to determine the real bottom in this situation, although as we see, stocks are generally at bargain prices at these levels. Investors' confidence have to be restored before any stock markets rally can be sustained. Meanwhile, troubled insurance giant AIG will be granted an additional $37.8 billion in additional liquidity from New York Fed. Earning season have started too in the US and Alcoa gave a lower-than-expected profit while IBM's early report stated that it beat expectations. The Dow ended lower by 189.01 pts or 2% to 9,258.10, S&P500 fell 11.29 pts or 1.13% to 984.94 while Nasdaq fell 14.55 pts or 0.83% to 1,740.33.
Asian markets may open lower again today, but may limit its losses after mounting several heavy losses for the past week. The combined rate cut efforts performed by central banks worldwide may help give some comfort to investors and may breathe life to the stock markets around Asia today. However, volatility may still be very high as investors are still very much concerns regarding the overall global economic outlook. More steps are being arranged by central banks around the world to unclog the credit market so that banks would want to lend money more freely. Oil prices also dropped overnight, it is recently traded around $88.81ish per barrel and it eases inflation concerns around the world. Gold was recently traded around $907.50ish as investors seek have haven. JPY was recently traded around 99.50ish and Nikkei futures was closed at 9200 in CME compared to the close of 9165 here yesterday.
Kospi may open lower today but may turn to the upside following the rate cuts peformed by central banks worldwide last night. Some bargain hunting may also emerge if there's enough positive news around Asia to fuel a stock market rally today. Volatility may still be high today as investors are still very much fearful regarding the uncertainty of global economy but generally, Kospi have performed slightly better than other markets. Kospi may find its resistance around 170ish and its support at 160ish today.
Hangseng may open slightly higher and may perform a rally today after Hong Kong's central bank announced that they will cut interest rate by 100 bps today. The combined rate cuts peformed last night may also give reasons for investors to buy the already cheap stocks today. Technically, markets around the region are bound for a rebound, it's just a matter of time when will investors be confident enough to buy stocks and sustain markets' rally. Chinese markets may also set to rebound today after Chinese bank announced that it will start slashing rates to stimulate more growth to the economy. Hangseng may find its support at 14700 and its resistance at 16000ish today.
Indonesian stock market was closed early yesterday after it plunved more than 10% to its lowest close this year at 1,451.67. Market may find some life today if regional markets are strong enough to sustain a rally fueled by emergency rate cuts around the world. However, as investors' confidence have been hurt badly in recent days, market may still get heavy selling pressures. IHSG will still be closed today as market's officials are trying to determine when to open up the market again. If market is open today, it may find support at 1,400ish and resistance at 1,470ish today.
Asian markets may open lower again today, but may limit its losses after mounting several heavy losses for the past week. The combined rate cut efforts performed by central banks worldwide may help give some comfort to investors and may breathe life to the stock markets around Asia today. However, volatility may still be very high as investors are still very much concerns regarding the overall global economic outlook. More steps are being arranged by central banks around the world to unclog the credit market so that banks would want to lend money more freely. Oil prices also dropped overnight, it is recently traded around $88.81ish per barrel and it eases inflation concerns around the world. Gold was recently traded around $907.50ish as investors seek have haven. JPY was recently traded around 99.50ish and Nikkei futures was closed at 9200 in CME compared to the close of 9165 here yesterday.
Kospi may open lower today but may turn to the upside following the rate cuts peformed by central banks worldwide last night. Some bargain hunting may also emerge if there's enough positive news around Asia to fuel a stock market rally today. Volatility may still be high today as investors are still very much fearful regarding the uncertainty of global economy but generally, Kospi have performed slightly better than other markets. Kospi may find its resistance around 170ish and its support at 160ish today.
Hangseng may open slightly higher and may perform a rally today after Hong Kong's central bank announced that they will cut interest rate by 100 bps today. The combined rate cuts peformed last night may also give reasons for investors to buy the already cheap stocks today. Technically, markets around the region are bound for a rebound, it's just a matter of time when will investors be confident enough to buy stocks and sustain markets' rally. Chinese markets may also set to rebound today after Chinese bank announced that it will start slashing rates to stimulate more growth to the economy. Hangseng may find its support at 14700 and its resistance at 16000ish today.
Indonesian stock market was closed early yesterday after it plunved more than 10% to its lowest close this year at 1,451.67. Market may find some life today if regional markets are strong enough to sustain a rally fueled by emergency rate cuts around the world. However, as investors' confidence have been hurt badly in recent days, market may still get heavy selling pressures. IHSG will still be closed today as market's officials are trying to determine when to open up the market again. If market is open today, it may find support at 1,400ish and resistance at 1,470ish today.
Kamis, 02 Oktober 2008
Asian market preview 02/10/2008
US markets ended a relatively quiet day moderately lower last night as investors are waiting nervously for the senate vote on the new revised $700 billion bailout plan. The Dow initially lost more than 200 points in early morning trade but managed to recoup most of its losses as the bailout plan seems likely to pass the senate and house votes. Meanwhile on economic data, the Institute for Supply Management revealed a troubling drop in new orders. The Index of manufacturing activity fell to 43.5 in September from 49.9 in August and analysts have expected a reading of 49.5. Auto sales in the US also fell 27% as consumers curb spending on luxury items. The bailout plan which includes lots of 'sweeteners' such as tax breaks for businesses and the middle class, a provision to raise the cap on federal deposit insurance from $100,000 to $250,000 and other bits of new stuffs to win over the senate and house votes, is actually heading for a senate win on Wednesday night US time. Most people believe that with the win for the bill, it will unfreeze the credit market and banks would want to lend to each other again and businesses will also get the funds they needed for daily operations. The Dow ended down by 19.59 pts or 0.18% to 10,831.07, S&P500 lost 5.30 pts or 0.45% to 1,161.06 while Nasdaq fell 22.48 pts or 1.07% to 2,069.40.
Asian markets may open flat with tendencies to go higher today as the revised plan seem to be able to win senate votes and most likely to win over the house on Friday. The US government really think that they need to do something and the addition of 'sweeteners' on the bailout plan showed how serious they are to get the bill passed. Crude oil meanwhile fell last night as US inventories showed a surprise increase in supplies. Oil was recently traded around $98.84ish per barrel, gold traded around $876.80ish and JPY traded around 106.05ish. Nikkei futures was closed at 11580 in CME compared to the close of 11500 here yesterday.
Kospi may open rather flat with higher bias today following the optimism that the new, revised bailout plan will go through senate and get the required house votes. Kospi will be closed on Friday and if optimism flow enough among investors today, it may perform like Hangseng did on Tuesday as stocks rose in anticipation that the bailout plan will be successful. Kospi ended down yesterday as investors did not show the enthusiasm as they're still waiting for the revised bailout plan. Kospi may find its resistance at 193ish and its support at 185ish today.
Hangseng may open slightly lower but it depends on how the bailout plan perform in the senate floor today. By the time Hangseng open, the votes in the US senate will be over and that may determine the market's direction for today. Hangseng was closed yesterday for holiday and may continue its rally today if the senate are fully in favor of the plan and if it showed that the house will vote YES on the plan. Hangseng may find its resistance at 20000ish and its support at 18700ish today. China mainland markets are still closed today for a week long holiday.
Asian markets may open flat with tendencies to go higher today as the revised plan seem to be able to win senate votes and most likely to win over the house on Friday. The US government really think that they need to do something and the addition of 'sweeteners' on the bailout plan showed how serious they are to get the bill passed. Crude oil meanwhile fell last night as US inventories showed a surprise increase in supplies. Oil was recently traded around $98.84ish per barrel, gold traded around $876.80ish and JPY traded around 106.05ish. Nikkei futures was closed at 11580 in CME compared to the close of 11500 here yesterday.
Kospi may open rather flat with higher bias today following the optimism that the new, revised bailout plan will go through senate and get the required house votes. Kospi will be closed on Friday and if optimism flow enough among investors today, it may perform like Hangseng did on Tuesday as stocks rose in anticipation that the bailout plan will be successful. Kospi ended down yesterday as investors did not show the enthusiasm as they're still waiting for the revised bailout plan. Kospi may find its resistance at 193ish and its support at 185ish today.
Hangseng may open slightly lower but it depends on how the bailout plan perform in the senate floor today. By the time Hangseng open, the votes in the US senate will be over and that may determine the market's direction for today. Hangseng was closed yesterday for holiday and may continue its rally today if the senate are fully in favor of the plan and if it showed that the house will vote YES on the plan. Hangseng may find its resistance at 20000ish and its support at 18700ish today. China mainland markets are still closed today for a week long holiday.
Rabu, 01 Oktober 2008
Asian market preview 01/10/2008
US markets soared higher last night after the biggest ever point drop for the Dow the day before. Investors came back into the markets as President Bush and top congress members and lawmakers vowed that they will revive the $700 billion bailout plan and will get an approval from the House Congress on Thursday. The bailout plan was surprisingly rejected yesterday as Congresmen think that the plan would not be able to jump start the economy. House members were flooded with phone calls after the rejection of the bailout plan, this time calling them to support for it or at least passes something in order to help with the economy. The cost of borrowing Dollar overnight increase the most after the defeat of the bailout plan. LIBOR (London Interbank Offered Rate) for 3-month dollar loans rose to 4.05% from 3.88% on Monday while LIBOR for 3-month euro loans rose to 5.27% from 5.22% on Monday. Banks are making it harder for people to borrow money and even qualified potential home owners are finding it hard to get home loans. On other news, Wall St was cheered by several economic readings where Consumer Confidence Index rose to 59.8 from 58.5 in August and better from a predicted reading of 55.5. Chicago Purchasing Managers' Index came in at 56.7 compared to 57.9 in August. The soaring markets last night wasn't unexpected as yesterday was the last trading day of the quarter and portfolio managers are trying to make their portfolios look better. However, investors are still very nervous about the frozen credit market. The Dow soared 485.21 pts or 4.68% to 10,850.66, S&P500 rose 58.35 pts or 5.27% to 1,164.74 while Nasdaq rose 98.60 pts or 4.97% to 2,082.33.
Asian markets may open higher today following the partial recovery on Wall St last night on speculation that the lawmakers are trying to do something to salvage the $700 billion bailout plan. Most Asian markets were trimming their losses yesterday after opening losing more than 5% for most markets. Markets may find some relief and bargain hunting may kick in today for Asian markets as they may find new optimism that lawmakers in US are working extra hard to get the bailout plan approved. Crude oil prices also bounced back last night and was recently traded around $100.60ish per barrel, gold traded around $880.80ish and JPY traded around 106ish. Nikkei futures was closed at 11680 in CME compared to the close of 11425 here yesterday.
Kospi may open higher today following yesterday's decline after the failure of the $700 billion bailout plan in the US. Kospi have recovered much of its losses yesterday where the market was closed losing only around 0.7% after opening down more than 5%. The temporary ban on short selling may give market more reason to buy today on top of new speculation that US lawmakers will eventually pass something. Kospi may find its resistance at around 195ish today and its support at around 188ish.
Hangseng is closed today for public holiday. The market recovered all of its early morning loss yesterday to close up 0.76%.
Asian markets may open higher today following the partial recovery on Wall St last night on speculation that the lawmakers are trying to do something to salvage the $700 billion bailout plan. Most Asian markets were trimming their losses yesterday after opening losing more than 5% for most markets. Markets may find some relief and bargain hunting may kick in today for Asian markets as they may find new optimism that lawmakers in US are working extra hard to get the bailout plan approved. Crude oil prices also bounced back last night and was recently traded around $100.60ish per barrel, gold traded around $880.80ish and JPY traded around 106ish. Nikkei futures was closed at 11680 in CME compared to the close of 11425 here yesterday.
Kospi may open higher today following yesterday's decline after the failure of the $700 billion bailout plan in the US. Kospi have recovered much of its losses yesterday where the market was closed losing only around 0.7% after opening down more than 5%. The temporary ban on short selling may give market more reason to buy today on top of new speculation that US lawmakers will eventually pass something. Kospi may find its resistance at around 195ish today and its support at around 188ish.
Hangseng is closed today for public holiday. The market recovered all of its early morning loss yesterday to close up 0.76%.
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